Despite a continued drop in the local labor force, industry experts noted the job picture in Northeast Pennsylvania remains strong.
The seasonally adjusted unemployment rate for the Scranton/Wilkes-Barre/Hazleton Metropolitan Statistical Area remained at 4% in November, according to data from the state Department of Labor & Industry. The rate had been at a record low 3.9% for seven months from February through September before inching up to 4% in October.
The local labor force decreased by 1,000 in November to 279,300 after declining by 1,200 in October, state data shows.
Steven Zellers, a state industry and business analyst, stressed the current decline locally falls in line with the nationwide slide.
“It’s trending down, but that’s also happening virtually across the whole state and the whole country,” he said. “Right now, it’s a bit seasonal.”
However, Satyajit Ghosh, Ph.D., a University of Scranton professor of economics, added the precipitous drop bears monitoring.
“That’s something for us to keep an eye on,” he said. “For our size MSA, a 2,000 drop in the labor force in two months can be significant. If the labor force continues to fall, that could mean something about the perception of individuals who are looking for jobs, but it’s too early to tell.”
Pennsylvania’s unemployment rate ticked up one-tenth of a percentage point to 3.5% in November after holding steady at 3.4% for 13 months, per state data.
The national rate also ticked up one-tenth of a percentage point in November to 4.2%.
Lackawanna County’s unemployment rate rose two-tenths of a percentage point to 4.1% in November while Luzerne County’s rate remained at 4.5%.
Again, Ghosh cautioned residents not to worry too much about the slight increase.
“The rate is doing quite well,” he said. “I wouldn’t be too concerned about a move of one-or-two tenths.”
As another sign of the thriving local economy, the number of seasonally adjusted total nonfarm jobs in the local metro area remained at a record high 271,500 in November, per state data.
“The unemployment rate is extremely low and the labor market seems to be very resilient,” Ghosh said. “Looking ahead, if this trend continues, the economy is in very good shape. Not just our local economy, but the entire country’s and it has been for the last year to year-and-a-half.”
While the overall economic outlook looks promising, Ghosh identified the ongoing housing crisis as a worrisome factor.
“Even in our area, the housing prices and rents have gone up so much,” he said. “That is the problem we see in the economy.”
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